Are You Truly a Disciple?

Thursday, April 18th, 2013

Are You Truly a Disciple?

Some time ago I wrote an article titled “A Disciple or a Christian”. I tried to convey how easy it is to be a Christian and how difficult it is to be a true disciple of Jesus Christ. Jesus said that to be a disciple you may be confronted to either denounce Him or give up you life. Of course that is paraphrased but that was His point. I have often wondered if I could truly give up my life in the name Jesus Christ. Of course we all would like to think we could, but could we?

There is right now someone who is being put to that exact test. In Iran Pastor Saeed was organizing an orphanage and was arrested for trying to start a revolution in that country. All he was really doing was trying to get the people of Iran to be compassionate enough to save children from the streets and survive. Yes he was also spreading the Gospel. Pastor Saeed, a U.S. citizen, converted from Islam to Christianity and was compelled  to risk his life in the name of Jesus Christ. After his arrest he was tried and convicted as a revolutionary and sentenced to 8 years in prison this past January. He is in the most notorious prison in Iran, noted for its brutality of the inmates. He has so far endured relentless beatings to the point he has severe internal bleeding and the medical people will not treat him because the cannot touch unclean people and as a Christian he is deemed unclean. He has been told if he would denounce his faith in Jesus Christ the beatings would stop and even possibly be released from prison at which time he could return to his family here in the U.S. He refused to do so.

My fellow believers, THIS IS A DISCIPLE! I ask that all of you put Pastor Saeed on your prayer lists. Pray diligently that our Heavenly Father will continue to give him perseverance and the Lord will see to his release immediately.

Love in the name of Jesus Christ, Gary

www.HisCPA.com  A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Sandy Springs & Tucker as an Award Winning CPA

 

October 15th: Final Deadline to file Personal Returns…This is the Last Safe Tax Haven

Tuesday, April 16th, 2013

October 15th:  Final Deadline to file Personal Returns…This is the Last Safe Tax Haven

The 15th of October is the final deadline the IRS has for clients to file their personal returns. Often taxpayers fail to remember that an extension to file is not an extension to pay, accordingly taxpayers frequently are surprised to discover that late penalties/interest are assessed/and due for late payment even though a tax return has been properly/timely extended and filed.

During the second World War, the U.S. government/IRS changed the rules of paying personal tax bill obligations so that all taxpayers became responsible to pay their taxes as they go rather than waiting until the end of the year filing to pay, which was allowed before this change. Therefore all taxpayers are now responsible to ensure that all taxes are paid as the monies/profits/taxable income is generated.

To avoid unnecessary payment of additional penalties and interest on top of the taxes, which may be due, taxpayers should be doing tax planning now for the 2011 tax year. At a minimum I suggest that this process/issue should be addressed at least twice annually and more often for situations which are subject to/incurring rapid and substantive change.

www.HisCPA.com A Christian CPA Firm

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Should You Invest in a Second Home or Rental Property?

Monday, April 15th, 2013

Should You Invest in a Second Home or Rental Property?

The below is a sample inquiry we might receive from an individual consering buying a second home or rental property.

John, I know today’s not a good day but I don’t want to forget. When you have a few minutes…

As I told you, we’re looking to buy a new house but because the way the market is, we don’t want to sell our current house but rather keep it as an investment (it’s almost paid for!). What are the pros / cons / pitfalls tax-wise for having a property with rental income? Would I be better off to drag out the remainder of my mortgage as long as is left so that I have mortgage expense to charge against income? Any other advice?   Many thanks!!!!

Below is my response:

My main advice would not center around the tax but the financial issues.

At this point in time I would suggest you be looking to eliminate rather than acquire debt.

Absent a large (half the purchase price of a new home) cash influx soon I would suggest you either:

-Stay in present home.

-Be able to put 1/3 to 1/2 down on new home and then with a plan to pay off the balance over the next five to seven years (though you might still do a longer amortization). This thought is mitigated if either you or your wife had a stop in income stream and you would still have enough with just one wage earner to easily be able to pay off the home/make the payments.

Absent those two being palatable I would suggest selling and moving rather than keeping as rental property.

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General thoughts towards having rental property.

-You would be able to handle many of the things that need to be done.

-How comfortable would you be with a tenant. Might want to work several things into the lease such as maintenance and upkeep so they know they are paying for and you know will be done.

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For some of the tax items surrounding rental property

Understanding the Tax & Legal Effects of Rental Properties http://www.hiscpa.com/blog/2010/11/14/duluth-ga-cpa-understanding-the-tax-legal-effects-of-rental-properties/

Deducting Real Estate Losses www.HisCPA.com http://www.hiscpa.com/blog/2009/03/15/atlanta-cpa-on-deducting-real-estate-losses-wwwhiscpacom/

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As you know we brought our lake home at the peak of the market and now it is worth MUCH less than before. I would never suggest keeping a mortgage payment as our faith and our cash flow tell us that not having a payment is always better. Keep in mind our motto that “Credit Means You Probably Cannot Afford It.”

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Personal Tax Returns Are Due Today…Don’t Subject Yourself to Unnecessary Penalties

Wednesday, April 3rd, 2013

Duluth/Suwanee CPA: Personal Tax Returns Are  Due Today…Don’t Subject Yourself to Unnecessary Penalties

Please be sure to hurry and file your personal returns by April 15th. Beyond that date you are unduly exposing yourself to unnecessary penalties due to not filing a return. Thus to avoid this additional expenditure I suggest you file your personal return as soon as possible or to be sure to file an extension form with the IRS (IRS Form 4868). Please be reminded that if you file an extension to file your return that it is NOT an extension to pay your return. Though the IRS will often work with those who are filing and paying their taxes even though they might need a payment/installment plan, the IRS takes a dim view for those who do not file; thus the additional penalty.

It is critical to also begin preparing for what your current year tax liability will be today so that you might avoid late penalties and accrued interest on these monies as well. Staying in touch and well connected with your CPA is the best path to ensuring that all of your tax filings and payments are timely. Staying the course and being consistent are often two of your best friends in keeping your tax obligations and liabilities current. By proper planning you can learn how to avoid unnecessary surprises at year’s end.

The careful study and scrutiny of your financial statements by yourself as well as your CPA is as important as the sales transaction itself. Absent a wise and judicious use of the knowledge afforded by the careful preparation and utilization of financial statements you are most apt to dramatically decrease your chance of short as well as long term survivability. By working with your CPA you can learn to use this strategic information and begin to understand the nuances of ratios, margins, and statistics you can use to the wise management of your business.

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Duluth/Suwanee CPA on IRS Warning Against Using Unscrupulous Tax Return Preparers

Monday, March 25th, 2013

Duluth/Suwanee CPA on IRS Warning Against Using Unscrupulous Tax Return Preparers

The IRS is cracking down on Unscrupulous Tax Return Preparers and wants to be sure that America’s Taxpayers use only skilled, qualified, technically competent and legally licensed. This is even more important for business owners as their tax nuances, rules and regulations are even more complicated. At His CPA PC we suggest that all business owners:

  • Stay away from tax preparers who claim they can obtain larger refunds than others.
  • Use a Certified Duly Licensed CPA who has a track record of success and is widely recognized as a business leader in the community.
  • Avoid tax preparers who base their fees on a percentage of the refund.
  • Stay away from tax preparers who do not sign the tax return and provide you a copy.
  • Be sure the CPA has track record of consistency, so you can be sure that the CPA will be around months/years after a return was filed to answer any questions that might arise from the IRS.
  • Check the person’s credentials, references and grades. Be sure your CPA has a verifiable pursuing excellence.
  • A CPA can represent taxpayers before the IRS in all matters, including audits, collection and appeals. Tax preparers, who are not duly authorized, cannot represent taxpayers for audits of returns.
  • Be sure your CPA is affiliated with a professional organization (if you are seeking a Christian CPA, who is in good standing with their church body) and that your CPA’s continuing education is current and that your CPA complies with a code of ethics.

More information about choosing a tax return preparer making sure you find the right CPA for your tax/IRS Representation needs see:

Finding a Good CPA

What To Look For When Selecting A CPA
Selecting a professional is a daunting task. This guide will enable you to be better able to select a professional whose talent, expertise, and style will best assist you long-term see http://www.hiscpa.com/article8.html

Top 10 Reasons to Contact Our Firm
Learn the key reasons why His CPA, P.C. cares about your business and how you can benefit from being served by a CPA whose ambition for you and your business matches that of your own visit http://www.hiscpa.com/top-ten.html

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

We are ALL Ordained Lay Ministers

Friday, March 22nd, 2013

Duluth/Suwanee CPA: We are ALL Ordained Lay Ministers

Nehemiah, a layman, lived approximately 500 B.C. His story is told in the Old Testament which I have spent considerable time in studying as of late in writing two books. A Voice of One, Nehemiah’s Prayer and Overcoming Life’s 911′s, Job’s Journey. In reviewing these books especially I find many things about these stories I have been previously unaware of. Originally believing the God of the Old Testament to be harsh and judgmental, I have learned the error of my understanding and a God who loved his people offering grace, teaching faith, and an unyielding love.

In our frailty and left to our own devices we often will stray from the Word choosing a path which is not ordained by our heavenly creator. By leaning on God’s word, the Bible, we have a standard and benchmark in which to live our life by. In frequently going back to God’s word we are able to more aptly see his hand in our lives and the miracles which occur along its way. Some years ago I began to journal keeping a written account of events in my life, fears and troubles I faced, and prayer requests. By doing so I was more able to look back and begin to see God’s hand more clearly than ever before. My journal covers all aspects of my life including my wife and children and my walk with God detailing all aspects of the highs as well as the lows. In taking time to detail my concerns, toils, and tribulations I am able to begin to look back on these events with more clarity than ever before allowing me to see answered prayers more clearly. We are exhorted by Jesus to ask anything knowing if it is in accordance with God’s will that he will answer us. My prayers are sometimes not answered the way I would have preferred but with the added advantage of looking back I am able to gain perspective help me to be able to illuminate God’s hand. Being able to see the past, present, and future God knows what is best for me and my life. Just as diamond is polished to perfection so are we refined to be more like him.

By living our life in accordance with his precepts we come closer and face to face with who he truly made us be. Our God is one of order and not happenstance. In journeying through this life we are able to fulfill our God ordained appointments keeping those meetings he has for us along the way. Maybe there are those about us who are in need of our hearts, experiences, and helping hand to comfort those about us. Just as Nehemiah was able to look after those about him so are we called to help those about us who are in need and hurting. In our service to others we learn more about God’s love and grace growing deeper in our faith.

Leaning not on our own understanding but seeking after God’s wisdom we are more aptly to be able to accomplish great things in God’s name. By bringing God into our workplace our love of others is able to permeate through us sharing the good news of Jesus Christ. I have learned by being more bold in my faith it easier to be who God has always made me to be. Seeking after him daily I find father who loves me unconditionally. It was not until my daughter was born I was able to begin to get a grasp of how great his love is for his people. Though God will never violate the free will he has given us, he stands at the door of our heart gently knocking calling out our name.

Just as a runner trains to run the race set out before him so should we train our soul and spirit. By putting on the very armor of God we will find super natural strength lifting us in our direst time of need. I have learned to lean on God during those trials seeking after him with all my might. In 2003 we went on a family mission trip to Jamaica to reach out to those less fortunate. It was in the midst of this time my family came to claim Psalm 27 as our life verse to guide us along life’s way. My beautiful bride that year for Christmas framed  in calligraphy Psalm 27 where it is proudly displayed in our home. Reading these words reminds me of a creator who is aware of my fears, strengthens my spirit, while making me more steadfast in his ways. Read these verses slowly over and over letting each divinely ordained word permeate your very being teaching you of his majesty, love, and commitment to his people; you and I.

Psalm 27

The LORD is my light and my salvation— whom shall I fear? The LORD is the stronghold of my life—of whom shall I be afraid?   When evil men advance against me to devour my flesh, when my enemies and my foes attack me, they will stumble and fall. Though an army besiege me, my heart will not fear; though war break out against me, even then will I be confident. One thing I ask of the LORD, this is what I seek:  that I may dwell in the house of the LORD all the days of my life,  to gaze upon the beauty of the LORD and to seek him in his temple. For in the day of trouble he will keep me safe in his dwelling; he will hide me in the shelter of his tabernacle and set me high upon a rock. Then my head will be exalted above the enemies who surround me; at his tabernacle will I sacrifice with shouts of joy; I will sing and make music to the LORD.  Hear my voice when I call, O LORD;  be merciful to me and answer me.  My heart says of you, “Seek his face!” Your face, LORD, I will seek. Do not hide your face from me, do not turn your servant away in anger;  you have been my helper. Do not reject me or forsake me, O God my Savior. Though my father and mother forsake me, the LORD will receive me.  Teach me your way, O LORD; lead me in a straight path because of my oppressors. Do not turn me over to the desire of my foes, for false witnesses rise up against me, breathing out violence. I am still confident of this: I will see the goodness of the LORD in the land of the living. Wait for the LORD;        be strong and take heart and wait for the LORD.

Seek after God with all your heart. Seek his ways allowing him to guide your very steps along your journey. You heavenly father desires the very best for you and your life. Right now, today, God is drawing you ever closer to Him and his kingdom. Wherever you are, whatever is going on in your life, God cares. Call out to him and the Lion of Judah, the Great I Am will hear you. By beckoning to the great helper, the Holy Spirit, we are able to tap into the strength of the Lord, one which surpasses all understanding.

Written by John Dillard CPA of His CPA PC (A Christian CPA Firm)

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Are You Really A Christian? Do You Openly Share Your Faith With Others?

Wednesday, March 20th, 2013

Are You Really A Christian?  Do You Openly Share Your Faith With Others?

Atlanta Christian Speaker/Author on Determining to be a Christian Business Owner

As a Christian CPA, Determining to be a Christian Business Owner is not something you can just decide once and for all and then you are done. It is a process much the same is our walk with Jesus in our daily lives and the sanctification process thereof. Becoming a Christian Business Owner requires more than changing your firm name or developing a “catchy” mission statement. In reality it is based upon not only the way you live your personal life but also by the way your conduct your day-to-day business operations. For whether you are dealing with your customers, vendors or employees “walking the walk” and “talking the talk” requires you to make certain business habits and practices indeed an integral part of your every day thinking. These precepts will do much to help you along the way and to guide you in serving God as you work.

Be Informed

No one can master a profession without first its careful study, reflection and practice. Just as knowledge is the beginning to understanding, and then knowledge the pathway to wisdom, so should we be ever studious in the learned application and knowledge of God’s word; the Bible. By being informed we are most apt to know what God has to say about a particular subject rather than leaving our decision making to our own whims, desires or guessing. Similarly we are exhorted to teach our children in all of our comings and goings and in order to do so we must know the truth and the good news of Christ just as we are encouraged to act our faith in the workplace.

Psalm 1:2
But his delight is in the law of the LORD, and on his law he meditates day and night.

Be Single Minded

Often our emotions are tossed to and fro like the waves on a ocean, but a Christian Business Owner is one who is not easily swayed but one who remains steadfast and true to his convictions and to God’s teachings. If we are not surefooted in our knowledge then we are apt to fall for perils that lay ahead. For when the storms of controversy arrive and business obstacles arrive in our way, we need to be true to our beliefs allowing us to look ahead to the end goal. A “sure-fire” way to accomplish this is to align our thoughts and paths with God’s while not being afraid to stand for all that we, as Believers, have been taught.

Matthew 6:24
“No one can serve two masters. Either he will hate the one and love the other, or he will be devoted to the one and despise the other. You cannot serve both God and Money.

Be Profitable

God does not desire for us to be destitute for indeed he desires to lavish great gifts on us ( Matthew 7:11).Though we are not to worship money and the possessions that they allow us, it is fair and just for us to make a reasonable profit. Indeed making a profit is the only way that we will ever be allowed to continue to stay in business and to continue to tell others, we interact with daily, the good news of Jesus Christ. As Christian Business Owners we need to be sure that we pay all of our bills on a timely basis while maintaining fairness in all of our business dealings and contracts. Indeed, we are exhorted to be extra sensitive not to take advantage of those who are less fortunate. Profits do not come easy, nor will they fall like manna from Heaven, but they are the end result of substantive “sweat equity” that a business owner will need to achieve success in their endeavors.

Proverbs 14:23
All hard work brings a profit, but mere talk leads only to poverty.

Be Proactive

In the book of Genesis we are able to learn of the story of Joseph and how he planned during Egypt’s seven abundant years for the seven lean years of famine that followed. Joseph because of his diligence, insight and administrative skill was able to help the country’s citizenry survive during a protracted down economic time. Just as we worship a God of order so are we to organize our work lives and business to be both efficient and productive. If we plan our business affairs on a proactive rather than reactive basis we are most apt to achieve our goals, make a profit and be a Godly example to others.

Proverbs 21:5
The plans of the diligent lead to profit as surely as haste leads to poverty.

Be Fair

Our business practices should always be centered and grounded first and foremost in fairness. Though there will often be times when we are in the “driver’s seat” when negotiating with vendors, customers and employees, we should always seek to do what is right rather than what is convenient or to our undue advantage. Doing what is right, by taking the “high road”, will often require both extra effort and expenditures of funds, but it is always the best way as we will remain able to look positively forward rather than fearfully backwards. Whenever possible the Bible states we should show favoritism to those who need it the most by offering friendlier terms and conditions when situations and circumstances warrant.

Isaiah 1:17
learn to do right! Seek justice, encourage the oppressed. Defend the cause of the fatherless, plead the case of the widow.

Be Consistent

Perhaps there is no greater challenge in our Christian walk that consistency. As the devil roars to and fro in the world looking to whom he can devour and lead astray, so should we be ever diligent not to give evil a foothold. Leaning not on our own understanding but that of our Lord is the only way we can remain strong for it is only in our weakness and our meekness that we are able to draw on the strength of the almighty to order and measure our every step. Living in the present, acting out our faith before others and growing in our knowledge of the Word are our best guarantees to business and spiritual success.

Proverbs 3:6
In all your ways acknowledge him, and he will make your paths straight.

The ultimate goal of being a Christian Business Owner is to make disciples and to fulfill the Great Commission. In order to do this we have to first be known as Followers of Christ and then to act in accordance with God’s precepts. By being a good steward and example for others we are able to be used in many various circumstances as the very hands and feet of Jesus Christ. As God desires success for us and our lives, we in turn are asked by Him to be seen as a light of the Gospel evangelizing to all that we might, as we transact the daily affairs of our business. Living out your Christian faith before others allows us to reach many who will otherwise not know the Lord and to make an eternal and positive difference for the Kingdom.

“Dare to Attempt Something so Great for the Kingdom of God that it is doomed to failure, lest Christ be in it!”

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Incorporating Your New Georgia Business

Monday, March 18th, 2013

Duluth/Johns Creek CPA Advises on Incorporating Your New Georgia Business

Incorporation: Choosing a Entity Type for Your New Georgia Business

Evaluating what type of entity your business should be, we strive to balance the legal protection issues vs. the tax savings. Over the years, we have developed the mindset that there is no perfect election but there are ones that are better than others.

My clients tell me that they want to pay as few tax dollars as legally possible. Below are some very specific rules, as well as some generalities. If you are considering incorporating in Georgia, we suggest that you sit down with a tax professional to see how these guidelines relate to you.

Understanding S Corporations

S Corporations can have no more than one hundred shareholders and they all need to be U.S. citizens or resident aliens. This corporation type almost always has to have a calendar year as the fiscal year. S Corporation rules have been around since the 1950s and were set up to simplify the rules and regulations of being a business owner.

Liability Protection and Subchapter S Corporations

An S Corporation, like a C Corporation, affords the business owner personal liability protection from business risks. Some of the keys to maximizing that protection are to treat the corporation like one by doing all your business in the corporate name, signing all of your documents listing your corporate title, not co-mingling any personal issues/bills in the corporation, and by having your annual Board of Directors and Annual Shareholder Minutes Meeting.

Choosing an Entity Type for Your New Georgia Business
Your initial choice of entity is perhaps the most important tax, financial and legal decision you might ever reach. Being well versed in these areas is essential to a wise and prudent decision. See http://www.hiscpa.com/article2.html

Determining How Your New Georgia Business Will Be Taxed: Effects of Entity Choice
Carefully considering the tax effects of your entity choice is essential to getting your business off on the right foot. Being careful to avoid, if at all possible, the double taxation of C Corporations and then selecting the right entity for your business from both a tax and legal perspective is critical. Visit http://www.hiscpa.com/article2.html

Getting Your New Georgia Business Started
Understanding many of the basics of the start of the incorporation process will do much to ensure that you are well-versed and able to make wise and informed decisions. As these issues will affect your business operations and finances during the lifetime of your business they are essential to getting started well. Go to http://www.hiscpa.com/incorporating-guide.html

Determining Where to Incorporate Your New Geogia Business
The decision of where to incorporate your business is a critical component of getting your business started. Learn what you need to know to make a well-informed decision. See http://www.hiscpa.com/incorporating.html

Gerogia Corporation Forms and Registrations Checklist
Whether you are just incorporating or have been in business for years. This summary will enable you to quickly locate the forms and guidance you need to ensure your business maintains tax compliance. Visit http://www.hiscpa.com/checklist.html

Incorporating Your Issues for Your New Georgia Business Leadership

Knowing who will lead your business, their morals, beliefs and work ethic are essential to success in your new business venture. Determining who should be at the helm and who should follow will do much to avoid needless delays and time lost in aimless decision making. http://www.hiscpa.com/business-leadership.html

Incorporating the Details for Georgia Business Owners
Learning the basics of incorporation will do much to ensure that you do not make a costly mistake. Discovering the details of what all is involved in your new Georgia business will much to ensure you avoid costly mistakes and blunders. http://www.hiscpa.com/incorporating-details.html

To learn more about tax entities and the taxation thereof visit http://www.hiscpa.com/article2.html There you will also discover a wide host of resources for American Entrepreneurs.

A Christian CPA Firm: Never Underestimate the Long Term Benefits  www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

D-Day for 2012 Corporate Income Tax Returns are Mach 15, 2013

Wednesday, March 13th, 2013

Duluth/Suwanee/Atlanta CPA Reminds Atlanta Taxpayers that D-Day for 2012 Corporate Income Tax Returns are Mach 15, 2013

Today is the last day for corporate taxpayers to file and pay their 2012 Corporate Income Taxes is March 15, 2013. There is no “Pass Go” or “Free Pass” as taxpayers are required to “settle up” and pay what they owe and to have it post marked by the due date.

For taxpayers who will not be filing their return by the due date, they can use IRS Tax Form 7004 to pay any taxes owed and to legally extend the time for the filing of their tax return for six months, until 11-15-13.

For taxpayers who do not file either their return on a timely basis or file an extension the IRS/GA can assess regular penalties and interest, and in addition a failure to file penalty.

For taxpayers who do not pay their taxes in full today the IRS will assess failure to pay penalties and interest, until the amounts are paid in full.

So run to the post office time runs out to ensure that your tax obligations do not unduly grow. This applies to all C Corporations, S Corporations and LLC’s that have done a tax election (IRS Form 2553) to be taxed as an S Corporation/Small Business Corporation. These businesses will file either IRS Form 1120 for a C Corporation or IRS Form 1120S for an S Corporation

John 15:13 Greater love has no one than this, that he lay down his life for his friends.

John Dillard, CPA of His CPA, PC (An Atlanta Christian CPA firm) 1940 Woods River Lane, Duluth, GA 30097 Phone 770-814-9304 http://www.hiscpa.com/

www.HisCPA.com A Christian CPA Firm in Duluth GA Proudly Serving Suwanee, Lawrenceville, Snellville, Lilburn, Duluth, Norcross, Peachtree Corners, Atlanta, Gwinnett, Johns Creek, Roswell, Forsyth, Flowery Branch, Buford, Dunwoody, Grayson, Alpharetta, Roswell, Sandy Springs & Tucker as a Faith Based CPA

Atlanta Payroll Services: Payroll Reporting Guidelines

Tuesday, March 12th, 2013

Atlanta Payroll Services: Payroll Reporting Guidelines

Payroll Reporting Guidelines with the Internal Revenue Service

The most burdensome administrative responsibility for a business owner. Whether you have one employee or a thousand, both the IRS and your state has a myriad of payroll reports and deadlines for which you are required to complete. Unfortunately there is not a one-stop shop to pay and report all of the varying deadlines and taxes. However, there is a solution that makes the reporting of payroll dramatically more seamless than if you strive to go it on your own. The easy part of preparing a payroll is the actual paycheck itself, but that is where the simplicity stops and the difficulty begins as there are a dramatic list of reports and varying deadlines to meet. However that is where the difficultly of handling your own payroll increases.

It is widely suggested that retain a payroll service to handle all of your payroll checks, payroll reports, payroll payments, W’2, W-3, Form 1099 and all payroll reporting and compliance. In fact, although I am eminently qualified to handle all of my payroll tax issues, reports and payments I also use a payroll service as this is a much better use of my time. Also, it allows me not to get bogged down in non-productive administrative issues and to focus on addressing the service needs of my clients. However it is prudent for all employers to have a good understanding of payroll tax issues and their nuances. To this end I have recapped below some of the reports and their significance.

IRS Form 941: A quarterly report for payroll to report wages, federal withholding and FICA/Medicaid. These reports are due thirty days after the close of a quarter. Form 941 reflects the withholding that employers do of FICA and Medicaid Taxes and are detailed as per the below:

-FICA. FICA insurance is taken out of an employee’s paycheck and then is matched by the employer. Like withholdings, FICA taxes taken out of an employees paycheck are treated as fiduciary monies and are required to be submitted over to the IRS with rigidly defined dates, dorms and reporting format and method of payment. FICA insurance withholdings are calculated based on a prescribed statutory rate and the maximum amount of salary this is based upon is annually indexed for inflation. These monies are given over to the Social Security Administration for monthly periodic payments to those who qualify when they retire or become disabled.

-Medicare. Medicare Insurance also is an amount an employee is required to be withheld out of their salary and is in turn matched by their employer. Medicare taxes, FICA and federal withholding are all reported and paid concurrently. However, unlike FICA taxes, which are only assessed up to a specified annual amount, Medicare taxes are assessed on all of one’s earned income (W-2 wages) regardless of the amount. Medicare monies are then used to pay for medical expenses for those who qualify.

IRS Form 940: An annual report for FUTA/Federal Unemployment. These taxes are paid based upon the first $7000 of an employee’s salary and are assessed at a rate of .007 up to a maximum of $56 per employee/per year.

For those operating in other states you will want to contact the varying local authorities to ensure that you are aware of local tax laws. Please be advised that certain cities also have payroll taxes that should be assessed against wages.

Please note you should file all of the reports by their due date (I suggest filing as soon as you receive especially if you know you will have no payroll) as both the IRS and your state will assess a penalty for late filing. If you have no payroll you will still need to file these reports marking the reports zero in the amounts being sure to keep a file for your records.

Due to the complexity of payroll reports and payments, I suggest that all business owners, regardless of the number of employees, retain a payroll service to prepare and maintain your paychecks, payroll reports, and to ensure continued compliance with local state and other ordinances relative to your payroll requirements. In this way you will aptly delegate one of the more cumbersome aspects of your business to someone who handles payroll each and every day.

Navigating through this administrative nightmare is a critical hurdle that all business owners must overcome. By calling us today we can assist in making you aware of the myriad of the tax laws affecting your payroll responsibilities as well as to refer qualified payroll representatives to handle and address these issues for you allowing you to focus on what you do best; run your business.

EFTPS. Electronic Federal Tax Payment System. Because of the many varying reporting formats, forms, methods and electronic reporting requirements, it is most advisable that all employers (regardless of size) utilize and retain a payroll service to handle all of its payroll needs. Payroll companies will not only process the actual paychecks themselves, but also prepare the required payroll reports and make the needed tax payments. This process is relatively seamless as most all payroll companies debit your account for the required payroll taxes at the time of payroll check processing. Payroll companies also have the ability to make electronic payments directly to an employee’s account thereby saving time and money. EFTPS is the procedure and process that the IRS specifies employers to use to report and pay all payroll taxes. EFTPS is where employers report and pay IRS monies electronically and via magnetic media.

To read more about business issues affecting your new Georgia Business visit http://www.hiscpa.com/checklist.htm

To Get Help in Choosing the Right Entity Type for your Business visit http://www.hiscpa.com/article2.html

Understanding Corporate Income Tax Returns and Year-end Tax Filings for Business Owners http://www.hiscpa.com/business-tax-returns.html

To learn if your workers are employees or independent contractors http://www.hiscpa.com/employee-checklist.html

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